An Investigation Into The Level Of Data Sharing Efficiency On The Zambian Residential Property Market: Case Study Of Lusaka

The residential property market in Zambia is characterised by lack of readily available property market data resulting in market values that do not reflect all market information. This paper proposes an empirical case study approach based on best practice from both developed and developing countries to assess how this information can be incorporated into easily accessible data sharing mechanisms among the buyers, sellers, estate agents and valuation surveyors. The evidence gathered from other countries show that a closer correlation exists between information sharing and property values because better-informed individuals have been securing better deals. Both individual and corporate consumers in the residential property market base their decisions to buy or sell on the valuation surveyors assessed values as well as market advice from estate agents. However, in the absence of a properly framed data sharing mechanism anchored on strong legislative and institutional framework, real estate values can deviate from the actual either downwards or upwards. We test this hypothesis using unique data on residential real estate markets in Lusaka. Lack of data sharing contributes to distortions in residential property values. This finding substantiates the importance of deviations from the actual residential values due to lack of data sharing among the main players in the residential property market. In order to effectively address the shortcomings identified, it is suggested that information sharing among the main players in the residential property market be explored through the revision of existing policies and institutions.